Make leasing part of your IT strategy

Studies have shown that the majority of today's IT budgets are spent on operations and maintenance, and that this trend is growing. IT budgets remain under pressure yet you need a strategy to manage, maybe even shrink, necessary expenses whilst still innovating.

A Fair Market Value (FMV) lease from IBM Global Financing can be a key part of your strategy to shrink your growing IT costs: you pay only for the use of the technology, not its ownership. In fact, an FMV lease in many cases provides the lowest cost option for your IT infrastructure. It can also provide:

Predictable quarterly payments, to help lower financial risk compared to large upfront payments

Capacity additions or upgrades, often at little or no increase in your current quarterly payments

Cash conservation, to use for other strategic needs and investments

The end result is that a leasing strategy from IBM Global Financing can give you the flexibility and purchasing power to help you gain competitive advantage.

FMV leasing provides the lowest cost of ownership for an IT asset, as compared to outright purchase or a loan. In fact, when compared to a loan, an FMV lease provides lower costs in two ways:
a) No interest or disposal costs. This is shown as 'Ownership Cost', above
b) The residual value interest of the equipment at end of lease is retained by IBM Global Financing, and this savings is shown as 'Residual Value' in the above chart.

In fact, an FMV lease can help you:

Maximise cash flow and accelerate time to value through payment terms: these monthly payments align costs with anticipated benefits or revenue generation milestones for your project.

Reduce the risk of technological obsolescence: with regular lease equipment refreshing, you can capitalise on the latest price performance improvements.

Dispose of unneeded or obsolete technology without hassle or risk at end of lease: Just return the equipment and IBM Global Financing will manage its disposal in accordance with applicable environmental laws and regulations.

IBM Global Financing offerings are provided through IBM Credit LLC in the United States and other IBM subsidiaries and divisions worldwide to qualified commercial and government clients. Rates and availability are based on a client's credit rating, financing terms, offering type, equipment and product type and options, and may vary by country. Non-hardware items must be one-time, non-recurring charges and are financed by means of loans. Other restrictions may apply. Rates and offerings are subject to change, extension or withdrawal without notice and may not be available in all countries.